Question: need help with this question, will thumbs up .40 Botter Incorporated provided the following information regarding its single product Direct materials used $240.000 Direct labor
Botter Incorporated provided the following information regarding its single product Direct materials used $240.000 Direct labor incurred 3440,000 Variable manufacturing overhead $120,000 Fund manufacturing overhead $100,000 Variable selling and administrative expenses $55,000 Fored selling and administrative expenses $20.000 The regular selling price for the product is $80 The nel quartty of units produced and sold is 50,310 units (the costs above relate to the 50.310 units production level) The company has excess capacity and regular sales will not be affected by this special order. There was no beginning inventory What would be the effect on operating income of accepting a special order for 1.170 units at a sale price of $43 per product? The special order unts would not require any variable selling and administrative expenses (Round any intermediary cakulations to the nearest cant Round your final answer to the nearest dollar) O A. Increase by $16,603 OB Decrease by 518,603 OC. Decrease by 531,707 OD. Increase by $31.707
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